Advocate for Basic Income Urges Ontario to Combat Poverty, Not Pursue Class Action Lawsuit
Over the past six years, Jessie Golem has dedicated herself to amplifying the narratives of participants in Ontario’s basic income pilot program.
Having been a beneficiary herself, the Hamilton-based photographer attests to the transformative impact of the program’s commitment to providing three years of assured income.
Among the 4,000 low-income earners who enrolled in the pilot in 2017, Golem balanced four jobs while nurturing aspirations for a full-time photography venture. The initiative presented her with a pivotal opportunity, allowing her to envisage launching her business and surpassing the $34,000 threshold set by the pilot’s parameters.
Regrettably, that opportunity was snatched away. In 2018, the Ford government abruptly terminated the pilot, merely a year into its implementation, overturning the initiative commenced by the previous Liberal administration led by Kathleen Wynne.
During the pilot phase, approximately 4,000 individuals residing in Hamilton, Lindsay, Ontario, and Thunder Bay, Ontario, earning below $34,000 annually were granted nearly $17,000 per year. This sum diminished by 50 cents for each dollar earned through employment, while couples received slightly over $24,000. Additionally, individuals with disabilities were entitled to an extra $6,000.
In a recently certified class-action lawsuit overseen by a Superior Court judge in Lindsay, Ontario, as of March 4, former participants are pursuing damages totaling up to $200 million, alleging that Ontario violated the terms of the contract it had established with them.
Similar to Golem, many participants have shared accounts of experiencing hope as their circumstances improved temporarily, only to regress into poverty following the conclusion of the pilot.
At Queen’s Park on Monday, lawyer Stephen Moreau, representing the plaintiffs alongside Jessie Golem and Sheila Regehr from the advocacy group Basic Income Canada, disclosed that the province has consented to cover $320,000 in legal expenses. Moreau, the lead counsel for the plaintiffs, serves as a partner at Cavalluzzo LLP.
Moreau explained that the payment will offset a portion of the legal fees accrued by the plaintiffs during Ontario’s legal contestation of the class action’s merits in court. He noted that such payments are customary in similar cases.
As of now, there are no scheduled court dates for the lawsuit, and the duration of the case remains uncertain. Moreau expressed his preference for the province to resolve the matter outside of court.
In response to inquiries regarding the decision to cover the legal fees, Ontario’s Ministry of Children, Community and Social Services (MCSS), responsible for administering the pilot, declined to comment, citing the ongoing legal proceedings.
The MCSS emphasized the government’s commitment to enhancing affordability, citing increases in Ontario Disability Support Program payments, such as the 6.5% increase implemented in July 2023, along with efforts to enhance employment services.
